Both Nikon D60 and Canon 1000D are good. Go for Canon 1000d and invest in a decent lens. If you are buying canon, do not buy the kit lens 18-55mm (without IS). Buy the body with 18-55 IS lens (this is new lens and is a bit expensive than the old 18-55mm non-IS lens).
In the ultra-zoom catatory, Canon recently released a 20x zoom 'Powershot S10 IS'. It would be a nice camera with lots of features. You can give it a try.




. It has a fast len f1.4 50mm Minolta Rokkor lens. This tempted me to buy for 1.5k

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